Working From Home Insurance

We compare prices form the top UK insurers and because we get our rates directly from them and are their cheapest route to market we can pass those savings to you. We offer homeworkers’ quotations from AVIVA, AXA, FORTIS, MMA, Equity, Zurich, Groupama, NIG, and lot more than this.

An increasing number of people now work from home, however, conventional home insurance may not be sufficient to cover the risks to your property. For example, you may have valuable business equipment such as computers, laptops and fax machines in your home which need to be insured. You also need to consider the risk of an interruption to your business if your home is destroyed by fire or there is a major flood. Not only do you and your business face greater risks than the normal householder but the need to inform your insurer that you work from home could mean that your existing home insurance cover is invalidated.

KeyNote: If you personally own hand tools, or similar equipment, or bring works tools home make sure that you specifically mention these and their value as Home Contents cover will not normally include ‘business tools’.

Some insurers can extend the protection provided under your existing home insurance to include the cover needed for your business. If you are unsure whether your existing policy is sufficient always inform your insurer, who will then be able to confirm whether they can provide the cover you need.

KeyNote; If business callers come to you home make sure that you have informed your insurers as many Home insurers will not provide you with Liability Insurance.

There are a number of policies available for both your business and personal insurance needs. If you are considering working from home a homeworkers’ policy may be more suitable as the cover provided is generally more comprehensive. With some of these policies you can add personal buildings and contents in addition to the business cover required and with other polices these can run in conjunction with your existing home insurance policy.

KeyNote: Check whether the insurer charges for policy amendments

What cover is available?

A homeworkers’ policy will typically cover the following risks:

Office contents

Computers

Portable equipment (i.e. laptops, mobile phones)

Public and employers’ liability

Business interruption

Goods-in-transit cover

Cover for business money kept on the premises, in transit or in a safe

Business Legal Expenses

Buildings

Personal contents

Personal possessions cover for items taken out of the home.

KeyNote: Check the cover limits for both your business and personal contents. For example, the maximum limits applicable for your business money

What does homeworkers’ insurance cover?

Both your buildings, and business and personal contents, are typically insured against a number of specified perils. This means they are covered against the loss of or damage caused as a result of:

Fire, explosion, lightning or earthquake

Smoke

Storm or flood

Riot, civil unrest, strikes and labour or political disturbances

Malicious acts

Being hit by: impact from aircraft or other flying objects, or anything falling from them i.e. vehicles or animals

Water escaping from water tanks, pipes, equipment or fixed heating systems

Oil leaking from a fixed heating system

Theft or attempted theft

Falling radio or television aerials and dishes, and their fittings and masts

Subsidence or heave of the land that the home stands on, or landslip

Falling trees or branches.

Other covers available

Most homeworkers’ policies will also allow you to extend the cover provided to include accidental damage. For example, if you accidentally drop your laptop and it is damaged, cover is provided for any repairs needed, or a replacement, if it is beyond repair.

Accidental damage cover is usually offered as an optional extension, which incurs an extra cost.

A homeworkers’ policy can provide cover for both your personal and business insurance needs. Some examples of where cover is given for both areas include legal expenses and personal possessions.

Legal expenses – Legal expenses cover is usually available and provides confidential advice on any personal or commercial legal matter. The cover also includes the costs incurred in hiring a solicitor to help pursue or defend certain business or personal legal issues. The typical limits provided range from £25,000-£50,000.

Personal possessions cover – You can also extend your cover, at an additional cost, to include items that you take out of your home, such as sports equipment, clothing, laptop computers, cameras and jewellery. There is likely to be a cover limit for items not specifically mentioned in the policy.

Excesses and exclusions

An excess is the first part of a claim that is not covered by your insurance policy. Excesses are either applied as a compulsory excess, or can be selected as a voluntary excess, in return for a reduction in premium.

There may also be separate excesses applicable for your business insurance cover. For example, business equipment may have a compulsory excess of £100, but for claims on public liability cover an excess of £250 may be applied.

KeyNote: Always check the policy excesses to ensure you are aware of the amounts required to pay if you make a claim

There are a number of common exclusions, which are usually referred to as ‘general exclusions’ that are applicable within a contents insurance policy. These exclusions can include losses arising out of:

War

Terrorism

Sonic bangs

Radioactive contamination from nuclear fuel or waste

Wear and tear.

There are also exclusions that can apply for each section of cover and these should be read in conjunction with the general exclusions.

All insurers’ policy conditions state that you will be required to keep losses to a minimum by taking pre-emptive action to contain or prevent damage. You are required to take good care of your property and ensure it is maintained in a good condition.

KeyNote: Be aware of any policy endorsements the insurance provider applies.

Helping Reduce your Premium

Although we have mentioned that price should never be the main reason to purchase car insurance, nonetheless, it is still an important reason when deciding which policy to purchase. There are a number of ways that you can reduce your premium, some of these will not cost you a thing, while others will mean a little bit of investment;

Fitting approved window and door locks also generates savings with most providers;

If you have an approved alarm fitted remember to inform your insurer;

Being a member of a neighbourhood watch scheme will count in your favour;

Higher excesses mean bigger discounts;

If you have another insurance policy with the same provider, mention this as you could get a premium reduction.

KeyNote: Insurance providers do not try to make things complicated but they are always careful to minimise the risks involved. If you are unsure, always ask the provider of the policy to explain in more detail, before you purchase cover, so that you are sure that the policy meets your needs.